Gold sales on the rise

Hyderabad (NVS): Several positive factors pushed up the hitherto moderate sentiment in international gold and silver markets. Lower crude oil price attracted most of the investors so also the consistently improving US dollar.

At home, much awaited decision on easing the import restrictions on gold is likely to be taken after the second round of meeting between the higher officials of the Union Finance Ministry and the Reserve Bank of India. The market is agog with the speculation that 80:20 norm would be relaxed and the demand of retailers for a share of at least 20 per cent in both the ratios would be considered favourably. At present only the star and premium gold importers are allowed to import gold. After the import, the importer has to export back at least 20 per cent of the imported gold after value addition while retaining the balance 80 per cent for domestic sale. Further, an importer cannot import second time unless he fulfills the 80:20 criteria.

With the marriage season in full-swing, domestic markets recorded smart appreciation in the prices of both, gold as well as silver during the week ended Saturday. Standard gold (24 carats) moved up by Rs 550 at Rs 26,810 per 10 gm. Ornamental gold too followed suit and was quoted in the range of Rs 26,170-26,270 per 10 gm. Silver (0.999) also moved up in tandem to close at Rs 36,650 per kg or Rs 250 higher.